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Tax isn't a miner threat as resources dig in

ARE the big miners bothered by a carbon tax? Not much. Not according to their share price movements last week. BHP didn't go up much but it didn't go down either.

ARE the big miners bothered by a carbon tax? Not much. Not according to their share price movements last week. BHP didn't go up much but it didn't go down either.

What about other industrial stocks, such as OneSteel or BlueScope? Still not bothered. A $10,000 investment in those two last week ended up at $11027 and $11618.

Maybe traders had already priced in any possible bottom-line impact or maybe they were just cheered by talks of compensation, aid and loan guarantees.

Our leader for the first week is Thida Kyaw. Her portfolio is chockers with mining and resource-related companies. She also likes Virgin Blue. As one of its main competitors is stuck on the ground - Tiger Airways, anyone? - it looks like Virgin Blue's share price might be heading up for a change. There is talk that fare prices might rise if Tiger can't get back in the air, which might augur well for Virgin's bottom line in the long term.

Dartboard aimed well when it landed on coal-seam gas company Blue Energy. As our best performer for the week, it was up $13,281, but Dartboard still languishes in sixth place due to holding the worst performer of the week - Cougar Energy - as well. It finished up at $7619.

That was no doubt thanks to confirmation that the Queensland government would be upholding its proposal to stop Cougar resuming underground coal gasification at its trial plant near Kingaroy.

The government is concerned the project is an environmental risk. Cougar was also a little peeved that it learnt of the decision via a media release and not direct contact. Bothered? Yes much.

Penny Pryor


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